Congressman Stephen Fincher (R-TN) voted to eliminate more than a billion dollars in failed government programs this week. The U.S. House of Representatives passed the Federal Housing Administration (FHA) Refinance Program Termination Act and the Emergency Mortgage Relief Termination Act which would reduce Federal budget deficits by more than $1 billion.
"I am proud to announce that this week I voted to cut more than one billion dollars in wasteful and ineffective government programs," Rep. Fincher said upon passage of the bills. "This is a good step to rein in out-of-control Federal spending, but there is more work to be done."
"We simply need to use common-sense when we look at these programs. A Federal program that sets aside $8 billion and has only refinanced 44 loans is just plain crazy," Fincher added. "It is time for Congress and the government to focus on job creation rather than continued reckless spending."
The FHA Refinance Program was originally funded with $8 billion of TARP funds and estimated to help between 500,000 and 1.5 million homeowners. As of mid-February, only 44 loans have been refinanced. The Congressional Budget Office (CBO) estimates that the elimination of this program will decrease the Federal deficit by $175 million.
The Emergency Mortgage Relief Program increases struggling homeowners' debt and leaves taxpayers on the hook. The CBO estimates that eliminating the program will reduce Federal budget deficits by $840 million.